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Mumbai builder arrested by ED in over Rs 500 cr cheating case

06:13 PM Jan 12, 2023 | PTI |

Mumbai: The promoter of a Mumbai-based real estate company has been arrested under the anti-money laundering law in a case related to alleged fraud of more than Rs 500 crore, the Enforcement Directorate (ED) said on Thursday.

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Mahesh Bhupatkumar Oza, promoter of Karan Group Builders and Developers, was taken into custody on January 10 from jail where he was lodged after he was first arrested by the Bengaluru police, it said.

The money laundering case is based on multiple FIRs filed by the Karnataka Police against Oza and others on the complaint of an investor who put money in his projects. ”The complainant had invested about Rs 526 crore in different real estate projects undertaken by various groups and individuals. Subsequently, this amount was siphoned off by showing it as to be paid to various persons and collecting cash and commission in lieu of bank entry.

”Out of this total investment (of Rs 526 crore) made by the complainant, the bulk of the investment of Rs 121.5 crore was made for a real estate project undertaken by Karan Group Builders and Developers, headed by Mahesh B Oza,” the federal probe agency said in a statement. This amount, which was received for real estate projects, was ”rotated” through various entities and subsequently ”diverted” by Oza through another network of entities and people, it said.

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